Miramax Secures $ 300 Million Loan From Multiple Banks To Fund TheWrap Films and TV Productions
Miramax has secured a $ 300 million multi-bank revolving credit facility that will finance film and television productions for the next five years, the company said Thursday.
The loan, led by Bank of America Merrill Lynch and MUFG Union Bank, is expected to provide the studio with sufficient funding to produce four to six films per year and fund two to three loss-making television series.
The objective of the funding is to help provide Miramax with a growth strategy while increasing its range of films and television.
Last year, Miramax picked veteran movie director Bill Block as their new CEO after Stephen Schoch has resigned of the role.
“Bank of America Merrill Lynch is proud to support Miramax, a valued customer and one of the most successful content companies in the entertainment industry,” said Randy Hua, group director of technology, media and entertainment at Bank of America based in Los Angeles, in a statement. A declaration. “This credit facility will allow Miramax to continue to strategically develop its film and television capabilities with innovative and exciting content. “
The deal was made ahead of the 2018 Cannes Film Festival, in which Miramax is participating.
“Union Bank is delighted to support Bill’s leadership of Miramax as it strives to strengthen its premier library assets with the ambition of a strong roster of film and television content creation,” said Bryan LaCour, head of Union Bank’s entertainment finance team, in a statement.
Miramax underwent a restructuring last year where the studio fired about 45 people last year through film, television, sales and finance support staff.
At the time, Block said the cuts and reorganization were needed to streamline the business and prepare it for growth.
“We are delighted to begin a valuable partnership with Bank of America Merrill Lynch and MUFG Union Bank,” Block said in a statement. “The credit facility allows Miramax to effectively fund its current and future production line as we move to increase our growth. “
Upcoming Miramax projects include Johnny Depp-Forest Whitaker’s crime drama “LAbyrinth,” which Miramax will co-fund with Open Road Films. He also has the documentary “Whitney” on late singer Whitney Houston for distribution in the United States.
Disney, which had acquired Miramax from co-founders Bob and Harvey Weinstein in 1993, sold the independent unit to a group of investors for $ 660 million in 2010. BeIN Media Group, which is owned by Qatari Al Jazeera, then acquired the company in 2016.
Block and Miramax executive vice presidents of finance Dennis Hands, Jeremy Gross and David Cragnotti negotiated the deal on behalf of the studio. Hua handled the case on behalf of Bank of America.